US Producer Prices Reached Highest Level In 9.5 Years

GOLD

Gold traded lower over the weekend, as there was lack on any bullish news to give the market a firm direction. The U.S. Dollar and Interest rates traded in a narrow range at recent levels. Gold tested the $1,730 level and held as it continues to consolidate recent gains. U.S. data released Friday showed that producer prices reached the highest level in 9.5 years in March. The producer price index exceeded expectations, rising 1% from February and 4.2% from a year earlier. At 11am PT today, Gold is trading at $1,733 per ounce, down $12 on normal volume.

SILVER

With weakness in the gold price, Silver broke down below the key $25 level and reached a low of $24.67 before finding bargain buyers. Both Asian and European buyers became active as Silver reaches bargain levels. At 11am PT today, Silver is down $0.38 per ounce, trading at $24.90 on average volume.